If you are facing a divorce involving significant assets, you may wonder: What are the steps for filing for divorce in high-asset cases in California? Understanding the process is important when a marital estate includes substantial property, complex income, or long-term financial interests.
The filing process for high-asset cases is, in large part, the standard California divorce process. There are, however, broader and more detailed disclosure obligations, as well as valuation issues and procedural matters, that commonly arise in high-asset divorces. It is helpful to understand how high-asset divorces proceed through the court system in order to know what to expect in terms of legal and financial issues from the beginning of the case.
Step One: Filing the Petition and Response
All divorces in California start with the filing of a Petition for Dissolution of Marriage with the superior court. An experienced Orange County high asset divorce lawyer understands that in high asset cases, this becomes all the more critical as it is the time when jurisdiction and dates for actions that may impact the characterization of property are established.
Once the petition is filed and served, the other party has the opportunity to file a response. Initial pleadings serve both to officially notify the court and parties about the case filing while also initiating statutory timelines for required disclosures. Although the forms for these filings are standardized, the financial complexity of the estate usually dictates the further course of the case.
Step Two: Completing Mandatory Financial Disclosures
California law mandates early and comprehensive financial disclosures from both spouses. This process is more complex in high asset cases due to the nature and amount of assets involved. Required disclosures usually comprise:
- Income and Expense declarations
- Assets and Debts schedules
- Supporting financial documentation
Accuracy is crucial, as these disclosures influence court decisions on property division, support, etc. Incomplete or untimely disclosures can cause disputes or necessitate court involvement.
Step Three: Valuation and Characterization of Assets
High asset divorce cases sometimes involve the classification and valuation of the parties’ assets. This is especially true in California, which follows community property law. To reach a decision in high asset divorce cases, the court must assess whether property belongs to the community or remains separate and determine the value of complex assets such as business interests and real estate.
Classification and valuation sometimes require hiring appraisers, accountants, or other financial professionals. Asset classification and valuation issues are especially common when assets are volatile, closely held, or accumulated over many years. Until the proper valuation and classification are set, substantial settlement negotiations or rulings are not possible.
Step Four: Resolution Through Settlement or Trial
Once disclosures and valuations have been made, the process in high asset divorce cases moves towards settlement or trial. Some cases settle by negotiation or mediation. Others have court hearings on disputed issues. The chosen path depends on the complexity of the estate, the level of dispute, and compliance with procedural requirements. Possible paths to resolution include:
- Negotiated settlement agreements
- Court-ordered settlement conferences
- Trial before a judge
FAQs About Steps for Filing for Divorce in High Asset Cases in California
Do California Courts Handle High-Asset Divorce Cases Differently?
California courts apply the same statutory standards to all divorce cases, even those with higher assets and income. Cases with significant assets can involve more court time for financial issues. Complexity in financial disclosures, valuations disputes, and money management by spouses are examples of factors courts must address. Judges often have more evidence and motions to review to resolve contested issues in such cases.
Which Court Is Responsible for High-Asset Divorce Cases in Orange County?
In Orange County, high asset divorce cases are filed with the Orange County Superior Court. These cases typically open with the Lamoreaux Justice Center located in Orange. California divorce law is the same in every county, but local court procedures and scheduling practices are unique. Local judicial calendars impact the availability of hearings and case progress.
Knowing the assigned court is essential for serving parties properly and understanding deadlines for motions, discovery, and hearings.
How Prevalent Are Divorce Cases with High Assets in California?
Courts in California hear a large number of divorce cases, many of which involve high assets or complex property. State divorce statistics for California report a divorce rate of 5.88 per 1,000 people most recently. Not every divorce involves substantial property, but the overall number of divorce cases is large. Property disclosures and valuations by professionals are frequent in cases before California courts.
Does Filing First Give You an Advantage in a High-Asset Divorce?
The act of filing for divorce before the other party does not provide an advantage to the first party in California. Filing first can influence procedural timing factors like deadlines for disclosure and temporary orders. An earlier ability to request court orders and begin court involvement is possible in high-asset cases. A first-filer advantage for property division or support is not created by California law.
How Frequently Do Divorce Cases Go to Trial in The United States?
The majority of divorce cases settle prior to trial, even if a sizeable marital estate is at stake. Divorce rates nationwide are reported by the CDC, most recently at 2.4 per 1,000 people in 2023. The data includes 45 reporting states and D.C. as of the most recent year. This reflects the high volume of cases that must be managed by U.S. courts. Trial is the last resort after settlement, mediation, and negotiated agreements fail.
California High Net Worth Divorce Cases
Divorce in a high asset case is more complicated than simply filing the initial papers. Issues of financial disclosure, valuation, and procedural requirements are of paramount importance during every stage of the process.
Knowing what to expect during each stage of a divorce or dissolution can help you understand and meet legal requirements and what to expect from California courts in dealing with high net worth or complex marital estates from the time of filing through to the eventual resolution of the matter.
Hire a High Net Worth Divorce Lawyer
Quinn & Dworakowski, LLP is an Orange County family law firm with decades of experience handling divorce and related family law matters. Our firm represents clients in complex divorce cases involving significant assets, financial documentation, and contested property issues.
By concentrating on family law, our attorneys maintain familiarity with California divorce procedures, financial disclosure requirements, and the court processes that commonly arise in high-asset divorce cases.
Quinn & Dworakowski, LLP offers consultations for individuals seeking guidance in high-asset divorce matters. Hire a high net worth divorce lawyer today.
